ICICI Bank Q2 profit rises 20% to Rs 14,843 crore on strong loan expansion

ICICI Bank reports strong Q2 financial performance

ICICI Bank delivered another robust quarterly performance, reporting a 20.1 per cent jump in standalone net profit to Rs 14,843 crore for the second quarter ending September 30, 2026. The performance underscores the continued health and stability of India's banking sector amidst sustained economic momentum.

The lender had recorded a net profit of Rs 12,359 crore in the corresponding period of the previous financial year. On a consolidated basis, which includes its subsidiaries, net income expanded to Rs 16,333 crore from Rs 13,357 crore a year earlier.

The bank's total loan portfolio grew by 30 per cent year-on-year to reach Rs 18.31 lakh crore, driven by strong credit demand across retail, corporate, and SME segments.

Revenue and core operational metrics

Net interest income (NII), the difference between interest earned and paid out, rose 17.7 per cent year-on-year to Rs 25,339 crore, up from Rs 21,529 crore in the second quarter of the previous fiscal year. Net interest margin (NIM) settled at 4.18 per cent for the quarter, compared with 4.36 per cent in the preceding quarter and 4.30 per cent in the same period last year.

Total period-end deposits surged 27.1 per cent year-on-year to Rs 20.49 lakh crore. Excluding FCNR (B) deposits, total deposits expanded by 17 per cent. Average deposits increased 21.2 per cent to Rs 18.88 lakh crore.

Asset quality and balance sheet strength

Asset quality demonstrated further improvement during the quarter. The gross non-performing asset (NPA) ratio declined to 1.20 per cent as of September 30, 2026, down from 1.38 per cent at the end of June 2026 and 1.58 per cent a year ago. The net NPA ratio dropped to 0.30 per cent from 0.35 per cent in the previous quarter and 0.39 per cent a year earlier.

Gross NPA additions moderated to Rs 4,833 crore for the quarter, compared with Rs 5,034 crore in the second quarter of the previous financial year. Provisions dropped to Rs 851 crore from Rs 914 crore year-on-year.

The bank maintained substantial balance sheet buffers, holding contingency provisions of Rs 13,100 crore alongside additional standard asset provisions of Rs 1,283 crore. Its capital adequacy ratio stood comfortably at 16.68 per cent, with Common Equity Tier 1 (CET-1) at 16.01 per cent, well above mandatory regulatory baselines. Total consolidated assets reached Rs 32.93 lakh crore.

During the quarter, ICICI Bank also expanded its strategic footprint by acquiring an additional 2 per cent stake in ICICI Life Insurance Limited for Rs 1,470 crore.